Recruitment Software Costs Explained

Recruitment-Software-Costs-Explained

With the demand for recruitment software booming worldwide in the last few years, choosing the right system and getting a clear breakdown of total costs has never been more essential, or challenging. Recruitment software can serve as a supplement to recruitment marketing by streamlining processes, automating services like posting to job boards and candidate matching. However, with numerous pricing models offered by software vendors, hidden fees, and additional services, comparing recruitment software options can feel like a mammoth task. 

Recruiting software must cater to different business models and recruitment processes while maintaining a friendly user interface for repetitive tasks such as formulating job descriptions, resume parsing, and screening job seekers, meaning prices can vary significantly. Features such as implementation fees, data migration costs, or premium client support also contribute to these disparities.

Recruitment Software & Database Installation Options

£550 – £5,500 (one-off cost) 

Many platforms come with the option of a free trial prior to full user adoption so that talent acquisition specialists can get a feel for the platform. But when considering your installation options one of the first cost considerations should be how your recruitment software will be hosted. There are two main options: 

On-Premise Installation – Software is installed on your company’s local servers and accessed via your users’ computers. While this recruitment tool can provide greater control over security and advanced analytics, it can have limited functionality unless there is a larger upfront investment in IT infrastructure to revamp existing systems. 

Cloud-Based Software (SaaS) – Hosted on a provider’s servers and accessed via the internet. Most agencies now prefer SaaS solutions due to the lower upfront costs users pay, automatic updates, and advantageous scalability for their recruiting platform such as being able to advertise more job openings. 

Cloud-based recruiting solutions generally involve additional monthly or annual subscription fees, which need to be factored into long-term costs. 

Recruitment Software Licence Models 

Recruiting software providers typically offer one or a combination of the following licensing models: 

1. Recruiting software providers typically offer one or a combination of the following licensing models: 

£650 – £1,500 per licence (one-time cost) 

  • Recruitment agencies purchase each licence upfront and own it permanently. 
  • Bulk licence purchases usually come with discounts. 
  • Best for established staffing agencies that want a long-term cost-saving option for their recruiting platform. 

2. Subscription/Rental Model 

£50 – £150 per licence per month 

  • Pay a monthly fee per user without owning the licences. 
  • Costs for this paid plan are spread over time, making it easier for startup recruitment agencies to manage cash flow while candidate sourcing. 
  • Some providers offer tiered pricing for their recruitment software with different key feature levels such as premium candidate matching or recruitment marketing tools. 

3. Rent-to-Own Model 

  • A hybrid model where recruitment agencies pay monthly, with the option to own the licence after a set period (typically 12-36 months). 
  • Allows agencies to avoid large upfront costs while still working towards licence ownership. 

Tip: When evaluating recruitment software costs, don’t focus solely on licence fees, as there are additional costs that can impact your total budget. 

Additional Costs to Consider 

Helpdesk Support 

£185 – £450 per active licence per year 

  • Most providers charge an annual fee for assistance from customer support teams, which can be an ideal way to boost candidate engagement from a recruitment marketing perspective. 
  • Support packages vary, from basic email support to 24/7 AI-powered assistance with dedicated account managers. 

Third-Party Software Integrations 

£350 – £5,000 (one-time cost, varies by integration) 

Many recruitment software providers offer integration capabilities with recruiting tools such as:  

  • Payroll & accounting software 
  • Job board posting & distribution platforms 
  • SMS & communication tools 
  • Business intelligence & AI-powered automation 
  • Some integrations come with ongoing costs, such as API access fees or additional customer support charges. 

Data Migration & Import Services 

£850 – £1,800 per day 

  • Cost depends on the complexity of data being migrated from your recruitment agencies’ old system. 
  • Includes essential features that facilitate your recruiting process which in some cases can be AI-powered such as project scoping, data mapping, extraction, conversion, and User Acceptance Testing (UAT). 
  • Some legacy software providers may charge additional fees to release your data. 

Implementation & Setup Services 

£0 – £3,000 per day 

  • Implementation costs depend on the level of dedicated support required. If your recruitment firm requires expert data migration engineers to migrate large amounts of data, costs may increase.
  • Some providers include basic implementation for free, while others charge extra for key features such as candidate screening, collaboration tools, advanced reporting, and dedicated project management.

Software Training Services 

£850 – £2,500 per day 

Effective training ensures that your team can maximise the recruiting software’s potential in helping your agency acquire the best candidates and develop a user friendly interface. 

Training models include:  

  • Onsite or online private training sessions (for individual agencies) to increase recruitment efficiency.
  • Open online recruiting software training courses to make the most of your recruiting platform (which multiple client users can attend). 
  • Access to recruiting software tools such as user manuals & knowledge centres to provide ongoing support. 

Plan Your Recruitment Software Budget Wisely 

Choosing the new software for recruiting agencies is challenging enough without having to risk unexpected costs. By understanding the full scope of expenses, from licences, to automated workflows, to integrations and training, you can budget more effectively and maximise your return on investment. 

With Eclipse’s dedicated and flexible recruitment software, which includes a fully featured CRM system, you can rest easy in the knowledge that your entire recruitment process is covered, including an applicant tracking system, job posting boards, candidate screening, job opening and temp management, and much more.

With numerous options tailored to business sizes and requirements, Eclipse’s recruitment software is scalable, with the ability to morph and evolve according to the user’s needs.

Searching for a system that can give your agency the boost it’s been waiting for? Request a demo from Eclipse’s recruiting platform today and see what we have to offer.